Adam Silver Talks Kawhi Leonard Investigation, Says NBA Will Examine Rule Changes

NBA commissioner Adam Silver said Tuesday the league will consider changing investment and endorsement rules after investigating alleged salary cap circumvention by the Los Angeles Clippers regarding Kawhi Leonard's contract.

Pablo Torre first reported earlier in September that Leonard signed a no-show endorsement deal with Aspiration, a now-bankrupt company that Clippers governor Steve Ballmer was a top investor in, seven months after signing an extension with the team in 2021.

Silver confirmed last week that the NBA has launched an investigation into the matter.

"When this concludes, we'll take a fresh look at our rules in terms of companies that players are investing in, and owners," Silver told Front Office Sports on Tuesday about the investigation. "I mean, we have rules now, we have lines, but there's not a complete prohibition. It's based on the amount each owns in those entities. But the values are getting much higher."

Silver added, "Just the appearance of issues becomes, of course, a brand issue for the NBA right now. We may have to rethink those rules, and think maybe there are even additional lines."

Silver said last week he had never heard of Aspiration. Torre later disputed the claim by sharing a copy of a sponsorship agreement between Aspiration and the Clippers that required approval from the league.

The commissioner walked back his previous statement on Tuesday, saying instead that he hadn't heard of Aspiration "in the context of the accusations."

"I certainly was aware of the brand," Silver told Front Office Sports.

Silver went on to say he may consider changes to the process that led to that contract being approved by the NBA after the conclusion of the league's investigation into Ballmer and the Clippers.

"We can hire outside law firms, we have some in-house investigators, but there are literally thousands of deals that cover all our teams. And I think these are brands that have major investors, major funds," Silver said.

Silver added, "Yes, there's a league approval process. But it doesn't go deep into interviewing executives for every deal that comes through the league office."

When asked if he believed the approval process needed that level of oversight going forward, Silver answered, "I think that's a fair question, and maybe at a certain level they do."

Ballmer recently told ESPN's Ramona Shelburne that he had been "conned" when investing in Aspiration, and that he had introduced the company to Leonard but did not know the details of the endorsement agreement.

Aspiration filed for bankruptcy in March. Co-founder Joe Sanberg pled guilty in August to two counts of wire fraud adding up to $248 million in losses, according to the Department of Justice.

Additional oversight into endorsement deals like the Aspiration contract might not be the only adjustment Silver is considering to the NBA's investment policies.

Silver told Front Office Sports most complaints he had received, at least prior to Torre's report, involved league rules limiting how much players and owners can invest in the same companies.